Basically, during the crisis, the amount of money that people owed on their adjustable mortgages jumped up significantly during a period of rapid inflation. So now the government of Iceland is forgiving the debt—or at least the percentage of the debt that was incurred as a result of the inflation.
I’m interested in creating a platform to discuss how stigmatized debt is in our culture. It’s a publicly enforced system, but it’s typically privately experienced.
Mike: We’re going to do a monthly debt check-in later today. Let me know what your new balance is.
Logan: It’s gone up.
Loans with collateral are referred to as “secured debt,” and loans without as “unsecured debt.”